Non-profit Sales Tax Exemption

To comply with the new sales tax laws for marketplace facilitators, you, as the event director, can now indicate if your event is hosted by a non-profit entity. Depending on the state in which the event is hosted, your participants may not be required to pay sales tax.

Sales tax exemption by nonprofit is determined at the state level.*

By including the necessary documentation in the event setup to prove non-profit status, athleteReg will automatically determine whether or not to apply tax on specific items or event registrations and will automatically charge tax when required. 

If your state's exemption does not cover all items, please keep in mind that your participants may still be charged tax on some portion of their transaction.

Event directors do not need to remit any tax collected. athleteReg collects and remits tax on behalf of the event director, including non-profit event directors, to the appropriate entity.

Declare Tax Exempt Status

Upon completing the event setup, the next step brings you to the Event Payment page where, if your state offers an exemption, you are required to declare whether or not you are a tax-exempt entity. You must complete this declaration for each event that is held by a tax-exempt entity.

Note: If you do not see the Sales Tax Nonprofit Exemptions window, tax is not collected in your state, and you do not need to supply this information.

If you select Yes, you must: 

1. Provide the following information to prove non-profit status:
   • Non-profit Organization Name
   • Federal Nonprofit Tax Identity Type
   • Taxpayer Identification Number (TIN)
2. Upload your 990 and state-level non-profit certificate. It is your responsibility to ensure that this information is up to date and accurate. 
3. Accept Waivers.
4. Sign and save the exemption document. Once this section is completed it cannot be modified.

Note: If you have a Non Profit Exemption saved in another event, an option to copy that in this event is available, so you do not need to re-enter the information. 

*While non-profits are generally exempt from paying sales tax, if a non-profit sells entries to an event or associated merchandise, that non-profit becomes a seller, and the items they sell may be subject to sales taxes. A limited number of states do offer exemptions for non-profit sellers.